Coway launched the ESG Committee within the BOD in Aug. 2021 to define and implement ESG strategies and core values related to the environment, society, and governance in accordance with the articles of association and BOD regulations to achieve sustainable growth. As the highest decision-making body related to the Environment, Society and Governance (ESG), the ESG Committee will play a vital role in promoting an active and transparent corporate culture and improving corporate value from a long-term perspective. The ESG Committee is responsible for setting goals and strategic directions for ESG commitments, managing risks, supervising, managing, and reviewing ESG-related business activities, and taking decisions on Coway’s ESG commitments.

Coway’s ESG system consists of three bodies, including the ESG Committee, ESG Consultative Group, and ESG Working Group. The ESG Committee, which is the highest decision-making body, consists of two outside directors and the CEO. It performs deliberations, takes decisions, and reviews major ESG issues to suggest strategic directions for sustainability management. The ESG Consultative Group monitors major issues, proposes the ESG Committee’s agenda, and discusses particulars, such as ESG strategies, policies, and goals.

The ESG Working Group analyzes ESG trends and changes in regulations, consults with outside experts and stakeholders, and supports the ESG Committee and ESG Consultative Group. Coway will expand its business competitiveness through ESG management throughout its business and strive to establish its presence as a respected company that pursues mutual growth with stakeholders.

Coway has been carrying out sustainable business activities even before the launch of the ESG Committee. In 2006, for instance, we declared our commitment to ethical and environmental management, thereby laying the foundations for a sustainability management system. In 2009, we voluntarily set a goal to reduce greenhouse gas emissions and took the lead in initiating green management, which earned us the Presidential Prize at the 2012 Green ManagementAwards. We then expanded the realm of our ESG commitments to include information protection and subcontractors’ welfare for mutual prosperity. In 2016, we launched the Infinite Responsibility Committee to build and retain customer trust by taking responsibility for our products. In 2021, we reset our mid- and long-term goals to reduce greenhouse gas emissions, and pledged our commitment to accomplish Net Zero by 2050. We have been striving consistently to create sustainable value while increasing our brand value and enhancing stakeholders’ satisfaction.

Coway is committed to creating social value and building trust with stakeholders by transparently disclosing its performance in the economic, social, and environmental areas. We continue working hard to align all our business strategies with ESG goals by setting practical mid- and long-term ESG goals, taking internal and external issues into consideration and managing performance consistently. We will contribute to strengthening corporate ESG commitments at home and abroad and carry out transparent ESG activities for corporate and social sustainability.

In 2023, Coway's ESG Committee and supporting organizations selected three issues as ESG priorities: (1) establishment of an eco-friendly management system, (2) support for human rights and diversity, and (3) governance for sustainable operation. In November 2021, the ESG Committee approved the carbon neutrality implementation plan and the establishment of an IT management system for reduction of greenhouse gases in the entire business process, and in February 2022, it approved the revision of the human rights policy and the revision of the Code of Conduct for suppliers. In November 2022, the Committee approved the establishment of a wheelchair basketball team for people with disabilities in order to enhance service for local communities. By implementing the three key tasks, Coway plans to collect and reflect the opinions of stakeholders effectively and promote a new journey toward ESG through continuous innovation.